Treaty with Cyprus on Avoidance of Double Taxation

Union Cabinet has given its approval for Treaty with Mediterranean Island Cyprus, wherein Double Taxation Avoidance Agreement has been signed with the Cyprus. This means that in case of any investment made through Cyprus, there shall be no double taxation, but Indian Tax Authorities can charge Capital Gains Tax on the investment made and investment sold. This treaty is a follow-up of treaty with Mauritius. Indian Government is negotiating with Singapore Authorities for same kind of treaty with them.